How does the Interest Rate Hike impact you?
With the Federal Reserve raising the interest rates of 0.75 % to 1% in 2 decades, it is no wonder the markets are reacting. Well, some may argue that the rate hike is that's the stock markets and it is does not affect me. That's some of the common sayings.
The truth of the mattter is that it does affect you as a home owner. We lists out 2 types of impacts that home owners may experience.
Why is Singapoe afftected by the rise of Interest Rate when it is set by the US Central Bank also known of the FED. This is bacuase Singapore pegs its currencies to a group of currencies which no one knows the combination unless you work for MAS - Monetary Authority of Singapore.
Havving said that, it is a well known fact that Singapore's real estate market is very resiliant and vibrant. Prices of real estate in Singapore even rose when the pandemic Covid-19 struck China in December 2019. Covid-19 started to cripple many industries such as F&B, Tourism, Entertainment, etc during the multiple lockdowns in Singapore and other parts of the world.